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Australian Wool Market Report (31 August)

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The wool market recovered some of last week’s losses with an uplift of 22 cents in the AWEX Eastern Market Indicator this week. The auctions were programmed in a typical Wed/Thurs pattern however a large warehouse fire and associated exclusion zone around the Melbourne auction facility on Thursday resulted in a postponement of that sale-day to Friday.

It was one of only three Friday sales in the history of AWEX (since 1995) and the first postponement of a sale since the 9-11 New York terrorist attacks in 2001.

The market increased progressively over the series, resulting in rises of 10 to 50 cents (Fremantle was the exception, falling when compared to its previous sale held a fortnight earlier). A designated Australian Superfine sale in Sydney this week was timely given a focus on the finer microns where significant premiums were paid for Spinners styles and higher strength types in the ultrafine range.

Merino Skirtings were similarly in high demand, particularly the well-classed better types exhibiting low vm and good length. The smallest Crossbred catalogue for the season saw prices firm over the three days. Merino Carding types added to recent gains with further rises this week. Improvements of 40 to 60 cents pushed all three Merino Carding Indicators into record territory, beating the previous benchmark made in January. Next week there is a national total of 39,293 bales expected in the three selling centres.

Main Buyers this week: Techwool Trading 1,587 10.9%, Fox & Lillie 1,550 10.7%, Tianyu 1,158 8.0%, Seatech 903 6.2%, Endeavour Wool Exp. 881 6.1%, PJ Morris 876 6.0%, Michell P/L 837 5.8%, Aust. Merino Exp. 795

Source: AWN

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